The impact of national policy on European football clubs: An examination of transfer activity

Abstract

The objective of this paper is to explore the impact of national policy on European football clubs. In recent years, European football clubs have been breaking the transfer fees record in the transfer market, but there is a big gap in the transfer fees between clubs from different countries, so this paper explored it. Since the response of national policies in one industry is usually the epitome of the economic situation of the whole country, this paper also found the advantages and disadvantages of national policies by studying the impact of national policies on the football industry. This study used literature review and reorganized the secondary data from Deloitte, the Transfer market, Statista and other websites. This study found that in the new liberalism Britain, the football industry environment is loose, the business model is dominated by large investment, the degree of marketization is high but the economic situation is not stable. In a macro-control country like Germany, the business model is within its means, and the financial situation is relatively healthy and stable, but to some extent, it restricts the development. Italy's football clubs are mainly owned by the family business, which is in the state of monopoly of league matches by big clubs, and it caused the Matthew effect. It is important to those businessmen who want to enter the European market because this study takes the football industry as the entry point and can reflect the impact of different national policies on the industrial business model.